Study on China’s Government Procurement System and the Operation Mechanism

2016-06-06

The research project on “Improving Government Procurement System and Operation Mechanism” launched by the Development Research Center of the State Council (DRC) was conducted by the Institute of Public Administration and Human Resources of DRC. Government procurement is a crucial component of financial expenditure management. The purpose of this research project is to correctly assess the effects since China implemented Government Procurement Law in 2003, to have a full understanding of the eminent conflicts and serious problems in current government procurement system and operation mechanism, to meet the new requirements for government procurement in the new period, to enhance the government procurement system and operation mechanism, and to improve the laws and regulations as well as policies for government procurement.

By following two major issues of “quickly resolving deep-seated problems and gradually achieving new goals”, this book thoroughly studies the function, positioning, goals and main principles of China’s government procurement in the new era. The book also proposes the reform framework and approach for improving China’s government procurement management system and operation mechanism, and makes researches on several security mechanisms such as improving the supervision and evaluation mechanism, procurement budget management, supplier management and IT application as well as applicable international experience. Based on the requirements for China’s government procurement in the new era and in light of the new situations, this book suggests revising Government Procurement Law as soon as possible.

The book contains a general report and nine special reports. The former is the research report on improving China’s government procurement system and operation mechanism. The latter focuses on respectively main outcomes and problems of China’s government procurement, the function, positioning and goals of government procurement, adjustment and improvement of the government procurement management, improvement of the supervision and evaluation mechanism for China’s government procurement. It makes studies on several security mechanisms for China’s government procurement, institutional requirements for China’s government procurement to fulfill its functions, and influence and countermeasures relating to China’s accession to GPA（Government Procurement Agreement）. It also touches upon some major problems in other countries’ government procurement evolvement and relevant implications, and the legal system building for government procurement.

The book is mainly contributed by Li Guoqiang and Yuan Dongming and they made a number of field surveys and profound studies and analysis prior to the writing of the book. Based on the research findings, several modifications and revisions have been made in the first edition. They feel indebted to all parties for their generous help in compiling and publishing the book. Due to limited time and knowledge, there may be unavoidably mistakes and drawbacks in the book. The authors look forward to receiving comments from dear readers.